Global debt levels
Encyclopedia
Flows
World-Wide Debt, Equity and Equity-related issuance reached record-breaking levels in 2003 with over $5 trillion in proceeds raised, surpassing 2001’s record of $4.4 trillion. The $5 trillion of borrowings represented 14% of the GDP flow during the year (4.938/36.3) (see world economyWorld economy
The world economy, or global economy, generally refers to the economy, which is based on economies of all of the world's countries, national economies. Also global economy can be seen as the economy of global society and national economies – as economies of local societies, making the global one....
).
Debt issuance reported by Thomson Financial
Thomson Financial
Thomson Financial was an arm of The Thomson Corporation, which was one of the world's leading information companies, focused on providing integrated information solutions to business and professional customers...
(http://www.thomson.com/financial/investbank/fi_investbank_league_tablearchive_debt.jsp) ($ billions and number of isses).
World-Wide Debt
- 2003: 4,938 (17,287) (Q4 2003 report)
- 2002: 3,938 (?) (Q4 2003 report)
Euro area
- Credit debt: ?
- Households: 80.9% of households’ gross disposable income
- Non-financial corporations: 78.9% of GDP
- Government: 70.7% of GDP
Japan
- Credit debt: ?
- Households: 110.5% of households’ gross disposable income
- Non-financial corporations: 110.5% of GDP
- Government: 141.3% of GDP
United States
Dollar amounts are debt owed by each sector (amounts borrowed by each sector)- Credit debt: $35.8 trillion (303% of GDP) (35820.6/11809.9)
- Households: 90% of GDP (67.5% of households’ gross disposable income)
- Household sector: 9.9 trillion (includes $9 trillion in mortgage debt)
- Financial sectors: 100% of GDP
- Financial sectors: $11.6 trillion
- Non-financial corporations: 67.5% of GDP
- Nonfinancial corporate business: $9 trillion (excludes unfunded liabilities for pension funds and other post employment benefit funds)
- Nonfarm noncorporate business: $2.4 trillion
- Farm business: $200 billion
- Government: 70% of GDP (does not include unfunded liabilities for Medicare and Social Security)
- Federal government: $9 trillion
- State and local governments: $1.6 trillion
- Unfunded Medicare liability: $34 trillion
- Unfunded Social Security liability: $12 trillion
- Households: 90% of GDP (67.5% of households’ gross disposable income)
See also
- Bond (finance)Bond (finance)In finance, a bond is a debt security, in which the authorized issuer owes the holders a debt and, depending on the terms of the bond, is obliged to pay interest to use and/or to repay the principal at a later date, termed maturity...
- Bond marketBond marketThe bond market is a financial market where participants can issue new debt, known as the primary market, or buy and sell debt securities, known as the Secondary market, usually in the form of bonds. The primary goal of the bond market is to provide a mechanism for long term funding of public and...
- Credit (finance)Credit (finance)Credit is the trust which allows one party to provide resources to another party where that second party does not reimburse the first party immediately , but instead arranges either to repay or return those resources at a later date. The resources provided may be financial Credit is the trust...
- Credit market
- DebtDebtA debt is an obligation owed by one party to a second party, the creditor; usually this refers to assets granted by the creditor to the debtor, but the term can also be used metaphorically to cover moral obligations and other interactions not based on economic value.A debt is created when a...
- Debt market
- Fixed incomeFixed incomeFixed income refers to any type of investment that is not equity, which obligates the borrower/issuer to make payments on a fixed schedule, even if the number of the payments may be variable....
- LoanLoanA loan is a type of debt. Like all debt instruments, a loan entails the redistribution of financial assets over time, between the lender and the borrower....
- SecuritizationSecuritizationSecuritization is the financial practice of pooling various types of contractual debt such as residential mortgages, commercial mortgages, auto loans or credit card debt obligations and selling said consolidated debt as bonds, pass-through securities, or Collateralized mortgage obligation , to...
- Structured financeStructured financeStructured finance is a broad term used to describe a sector of finance that was created to help transfer risk and avoid lawsStructured finance is a broad term used to describe a sector of finance that was created to help transfer risk and avoid laws...
- World economyWorld economyThe world economy, or global economy, generally refers to the economy, which is based on economies of all of the world's countries, national economies. Also global economy can be seen as the economy of global society and national economies – as economies of local societies, making the global one....